Competition and Innovation
Explore the net gain to society from competition and the role of innovation in driving progress. Michael and Russ discuss examples such as MP3 players and VHS vs Betamax, highlighting the benefits and costs of competition and the potential for wasted resources. They also touch on the NBA as an analogy for profit-seeking and the importance of encouraging new entry and products.In this clip
From this podcast
EconTalk
Michael Munger on Private and Public Rent-Seeking (and Chilean Buses)
Related Questions
How did competition impact the industry in the episode Don Boudreaux on Market Failure, Government Failure and the Economics of Antitrust Regulation and the clip Surprising Benefits?
Why are startups better at innovation in the context of the episode Prof G Markets: Google’s Antitrust Trial, Birkenstock’s IPO, and Surge Pricing at the Pub, and the clip Innovation Through Competition?